New Foreign Trade Zone Dedicated to Yachts Opens in San Diego

In partnership with the Fifth Avenue Landing marina in downtown San Diego, Marine Group Boat Works has activated the newest Foreign Trade Zone in San Diego, the only FTZ dedicated to luxury yachts in California. 

The new FTZ provides a location for foreign-flagged vessels to be legally marketed to U.S. buyers, without having to pay hefty import fees.

“Typically, if a foreign superyacht owner wants to market to American buyers, they must pay about 1.5% of the value of the vessel in Customs import duties and fees upon entry to the U.S. On a $50 million yacht, that’s $750,000 before they even know if they will be able to find a buyer,” said MGBW President Todd Roberts. “Now, they can come to San Diego, moor their boat, start showing it to potential buyers, have maintenance done, and even leave with it temporarily to attend boat shows, all without having to worry about taking a major financial hit before a sale is made.”

Foreign Trade Zones are secure areas located near Customs and Border Protection ports of entry. The purpose of the FTZ is to encourage international commerce, stimulate economic growth and promote American competitiveness.

The global super yacht industry is valued at just under $36 billion. According to the U.S. Superyacht Association, big boats can help out the local economy. One 180-foot yacht generates over $4 million each year which is ejected into the local economy.